CBI Raids Top Builders in Yes Bank-DHFL Fraud Probe After Arrest of Radius Group MD Sanjay Chhabria
In a major breakthrough in the high-profile Yes Bank-Dewan Housing Finance Corporation Limited fraud case, the Central Bureau of Investigation carried out extensive raids at multiple locations linked to three prominent real estate developers following the arrest of Radius Group Managing Director Sanjay Chhabria.
The raids were conducted across eight locations in Mumbai and Pune, targeting properties and offices connected to real estate businessmen Shahid Balwa, Vinod Goenka, and Pune-based developer Avinash Bhosale. The action came just days after Chhabria’s arrest, which investigators believe could uncover deeper layers of the alleged financial scam.
According to CBI sources, the searches were launched after Chhabria’s interrogation reportedly revealed crucial leads and fresh evidence. Officials said the investigation is now focusing on tracing the movement of large sums of money and identifying all beneficiaries linked to the alleged diversion of funds.
Sanjay Chhabria, the managing director of Radius Group, was arrested on Thursday evening and later produced before a special court, which remanded him to CBI custody till May 6. His arrest is being seen as a significant step in the widening probe into the multi-crore banking fraud.
The agency alleges that DHFL diverted a major portion of the funds it received from Yes Bank to companies controlled by Chhabria. During the investigation, the CBI reportedly found that Chhabria operated several bank accounts, with as many as 182 still active, raising concerns over the scale of financial transactions linked to the case.
Investigators claim that between April and June 2018, Yes Bank invested nearly ₹3,983 crore in short-term non-convertible debentures and Masala Bonds issued by DHFL. Shortly after this, the bank also sanctioned a separate term loan of ₹750 crore to a DHFL-linked group.
The CBI alleges that in return for these transactions, then Yes Bank founder and CEO Rana Kapoor received kickbacks worth around ₹600 crore. These kickbacks were allegedly routed as loans to his family-owned company, DoIT Urban Ventures (India) Pvt Ltd.
According to investigators, Kapoor’s daughters—Roshini Kapoor, Radha Kapoor, and Rakhee Kapoor—were the sole shareholders of DoIT Urban Ventures through another company, Mogran Credits Pvt Ltd, making the transaction a key part of the alleged conspiracy.
The investigation took a major turn when officials traced the end use of the ₹3,983 crore invested by Yes Bank. CBI claims that soon after DHFL received ₹2,700 crore from Yes Bank in early June 2018, it sanctioned two large loans—₹1,100 crore and ₹900 crore—to Radius Estate Projects Pvt Ltd and Sumer Radius Realty Pvt Ltd, both allegedly controlled by Sanjay Chhabria.
The agency believes these loans were part of a larger strategy to divert funds without proper due diligence.
CBI has further alleged that Kapil Wadhawan, one of DHFL’s key promoters, sanctioned additional loans worth ₹416 crore to other Radius Group companies without carrying out proper appraisal or risk assessment. Investigators say this bypassing of financial safeguards points to serious irregularities in the loan approval process.
One of the most serious allegations in the case involves Belief Realtors Pvt Ltd. According to the CBI, after Yes Bank sanctioned a ₹750 crore loan to the company, nearly ₹632 crore was allegedly diverted into DHFL’s accounts. A major part of that amount was then transferred to Flag Industries India Pvt Ltd and other firms linked to Sanjay Chhabria on September 28, 2018.
The CBI claims this chain of transactions reflects a deliberate attempt to rotate funds and conceal the actual beneficiaries, making the case one of the most complex financial fraud investigations in recent years.
Officials believe the raids at the premises of Balwa, Goenka, and Bhosale could reveal additional financial records, transaction trails, and possible links between developers and the larger loan diversion network.
The Yes Bank-DHFL fraud case has remained one of India’s most closely watched banking scam investigations, with multiple businessmen, financial executives, and real estate developers coming under scrutiny. At the centre of the case are allegations of quid-pro-quo loans, kickbacks, misuse of investor funds, and laundering of massive sums through interconnected companies.
With Sanjay Chhabria in custody and fresh raids underway, investigators are expected to intensify the probe further. The coming weeks may reveal whether more arrests are likely and how deeply the alleged financial network extends across India’s corporate and real estate sectors.
News source: Information for this article was gathered from a variety of reliable news outlets.
